August 09, 2024 [Egypt Independent]- Egyptian Prime Minister Mostafa Madbouly has presided over the signing ceremony of a Memorandum of Understanding at the New Alamein City government headquarters to become a regional petroleum hub with the UAE.

This landmark agreement between Egypt and the UAE aims to replicate the successful integrated petroleum system of Fujairah at Hamra Port, located on Egypt’s Mediterranean coast.

The deal aligns with the Egyptian Ministry of Petroleum and Mineral Resources’ strategy to establish Egypt as a regional hub for crude oil and petroleum products trading.

It also aims to leverage existing infrastructure, including port facilities, storage capacities, and marine berths, to facilitate the reception and trading of crude oil and petroleum products.

The MoU further encompasses the possibility of supplying petroleum products to the local market through existing partnerships between the Fujairah Company and global oil and gas companies.

It offers a competitive advantage to the Egyptian General Petroleum Corporation.

Additionally, the agreement explores the utilization of existing petroleum sector facilities for trading petroleum products and the establishment of a new logistics zone in the Mediterranean region, backed by potential investments of up to three billion dollars, subject to increase.

A joint working group has been formed by both the Egyptian and Emirati sides to oversee the implementation of the agreement’s provisions and address any challenges.